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♪ imus in the morning >> the great debate. two days away, but surely we know the results already? how do you think the media will call it? good morning, everyone, romney wins? you think that will be the headline on thursday morning? probably not. the debate is supposed to focus on the economy, a tough subject for the president. minutes from now, another report on manufacturing and it's likely to confirm an economy on the verge of recession. contrary to media reports, governor romney's campaign is not dead.
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a rasmussen poll gives him an edge among voters who will definitely vote and see his tracking poll of likely voters first on this program minutes from now. no letup in tax the rich mania. the u.n. takes aim at the richer people in america and europeans riot again to make them pay for, well, for everything. and then there is this, the european beat americans at golf again. but cheer up, "varney & company" is about to begin.
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>> good morning, "varney & company," today is monday october the 1st. wednesday is the first presidential debate and the obama campaign spent the weekend
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trying to low up media expectations that the president's already won. most mainstream polls do indeed have president obama in the lead, but according to rasmussen, governor romney has an edge among certain voters. 43% of likely voters say they are certain they will vote for mitt romney. 42% say they'll vote for the president. that's a very slight edge, but 15% of voters say they are uncommitted, with a number that large, the debate takes on added importance. new jersey governor chris christie in sharp contrast to the media thinks that romney will pull off a clear win this week. listen to this. >> i've seen mitt romney do this before. he's going to come in wednesday night, go out for america, and he's going to contrast what his view is and what the president's record is and view for the future and this whole race is going to be turned upside down come thursday morning. upsidedown thursday morning, i'm going to offer an opinion, no matter what, the mainstream
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media will call it a big win for president obama or a bad loss for mitt romney. the bias, complicated, some is error, some is miscalculation and some of it is deliberate in my opinion. to pump up the numbers using the 2008 base giving a sense of momentum to the obama campaign. and coming up, joe trippi will join the company on this suck-- subject. is the mainstream media in the tank for president obama? what do you think the headline will be in the new york times thursday morning. go on to facebook, i want your suggestions please, very interesting. most in not all economic indicators point to another recession and we're getting another indicator at the top of the next hour, you will have it. and next up, peter schiff, predicted doom and gloom before.
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and weighs in on this, is recession inevitable next year, plus are we really going to send money to egypt. the romney and ryan team are talking about it and so are we. >> their response was slow, it was confused, it was inconsistent.
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>> we're going to get out of the box this metropolitan morning with a solid rally and futures, a 70, maybe 80 point gain for the dow, and close to 13-5, i do believe which of course left a thousand points away from the all time high for the dow industrials and that's what ben printing a lot of money will do for you. the market has opened and we've opened to the upside. and for 10 seconds will probably get up to a 70 point gain as i said in the first couple of minutes, and i've got a pew study and half of u.s. adults own a tablet or a smart phone. half of them. apple makes both of course and we're going to kick off this monday morning with a stock quote from apple from nicole. okay, before we get to the stock quote, 1/2 of america's adults own a smart phone for a tablet
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and more. i've got to say, nicole, does that strike you as a low number. >> as a low number? you know, it's just, you know, it's hard to decide that. i mean, right here in new york city, you feel like it's 100%, but in other areas where people are worried about their gas and food, tablets, smart phones and apps are not front and center. >> how about this one, again from the pew research. one third of the people who own smart phones and/or tablets get their news from their smart phones or tablets. >> now, that number strikes me as incredibly low, because. >> really? >> you own a tablet or a smart phone or whatever, and number one thing you want to know is news, that's what i want to know, right. stuart: it's one third of the half, that means 1/6, one in 15%
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of all adults get their news from smart phone or tablet not from cable television or network television. >> right and nearly 1/3 of those polled have only subscriptions, don't plan to give them up. stuart: i don't get it. anyway, apple is up 3 bucks, back to 670 at the close? >> who knows we've been talking so much. who knows, 671 and change and another thing i want to quickly note, talking about the ipad. netflix came out with a press release, having their programs just for kids. netflix just for kids now available on the ipad e interesting. that's a step forward. i remember travelling to europe and sumbling with the dvd player and whatever, this is going to be great. stuart: i have grandchildren who have ipads and that age when they love to tune into kids stuff on hand held tablet and
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we've been talking a long time and the dow has been up, 65 points, 13,5-- >> should we keep talking? just kidding. [laughter] good for numbers. and nicole petallides, everybody. sparkling on the floor of the new york stock exchange this morning. now this. most of the economic news lately has been lousy. and weak employment numbers. gdp growth barely more man 1%, a report last week showing manufacturing is in contraction. and are we headed for another recession or are we maybe already in one? joining us now is peter schiff from euro pacific capital. and this morning, peter weir going to be in recession in the year 2013, regardless of who wins the election. that's pretty much the back drop to the market action today. what do you say? >> well, first of all, stuart, i think we're in a recession right now. look at the second quarter of revised gdp numbers from last week. the government claims that the economy is growing at 1.3%. but they also claim that inflation is annualizing out at
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1.6%. if inflation is actually 3% right now and not 1.6%, the economy is already contracting. and you're talking about the dow jones this morning being up. in terms of gold today. it's actually down. in fact, the do u-is now worth less than 7.8 ounces of gold. down more and 80% since the bear market began 12 years ago, so, it's not that the stock market's going up, it's not. the value of our money is going down. >> that's interesting, peter. let me show you the original question. you say we are in a recession already, then in 2013, does it get much worse? i'm looking for time frame on the real spiral down here. >> well, it's going to get worse, it's going to get a lot worse, when interest rates finally respond to all of this inflation by rising and then we go over the real fiscal-- >> hold on a second. >> the party's over e i hate to interrupt you peter, i'm sorry, look, you say the party is over when interest rates start to rise. doesn't the fed just print a lot
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more money to keep the interest rates down for securities? and it might-- >> it's going to rise because of the money the fed is printing. you see, when the fed prints money, it makes bonds more attractive not less attractive. in the short run, yes, it helps the bond market, but only if you're smart enough to sell. it's the people who are bailing out of bonds and selling to the fed that benefit from qe. anybody who is holding bonds is going to be left holding the bag. >> a little later on this program i'm going to do an editorial saying that we are in another bubble. and that bubble is america's debt. treasury securities and the bubble will burst and a final frame, but i'm basically agreeing with you. are you in an agreement with me, that this is a bubble in treasuries? >> of course it's a bubble. it's the biggest bubble and it's not just treasuries, it's a bubble in government. government is enormous because it can borrow all of this money
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so cheap. so you have a government bubble and it's reflected in the bond market and in the dollar. so, it's the dollar that's a bubble along with treasuries and it's all going to burst, and this whole economy built on consumption financed spending both in the private sector and through the government is going to be crashing down. it's a bigger house of cards than the financial. stuart: it's i don't know what bursts, not smart enough to know that you're basie saying there's no way out. >> there's no easy way out. yeah, there's the correct way out and then there's what we're doing. we're trying to inflate our way out of it and we're going to inflate ourselves into something worse. what we need to do is admit as a nation that we're insolvent. we need to restructure power debt and dramatically shrink government spending and reform the tax code and repair what the
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government has inflicted on the economy. we have allocation, and too much speculation because the fed keeps force feeding cheap money into the economy and because it thinks it's going to create jobs. it's not going to create anything, but disaster. stuart: i'm with you, the argument we've had before, no politician can be elected dog catcher, to take the pain immediately. and i know we've had this, no politician can get elected doing that. and we're out of time. and we'll do it again, promise you peter schiff, good luck. and the news on the economy has not been good lately and the latest read on the manufacturing sector right at the top of the 10:00 hour. that will be one of our new at 10 stories and also, you don't have to be a brain surgeon to understand what's going on with health care. but we have one for you anyway, and a neuro surgeon probably one of the best in the world dr. ben
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carson, is medical school as much as it used to be. and macy's hiring, am i reading it right. 80,000 workers? >> you feel like you want to check yourself. so many workers, hiring 80,000 seasonal workers, up 2 1/2% from the year ago and macy's don't forget also it bloomingdale's, but they joined other companies, such as kohl's, amazon, wal-mart, toys "r" us, and already announced they, too, will be adding whopping numbers of seasonal workers and what's interesting for the most part with the exception of target. most of the companies are adding more seasonal workers than they did the prior year e well, that's a lot of people. 80,000. and all right, nicole, thank you indeed. and as we suggested friday, a solid opening at the opening
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bell. 80 points higher, 13-5. the romney-ryan ticket criticizing the obama administration's handling of the libyan situation. by failing to maintaining our influence and stepping away from our allies, president obama has heightened the prospect of conflict and instability. now, here is what paul ryan said to chris wallace on fox news sunday. >> their response was slow. it was confused, it was inconsistent. they first said that it was a youtube video and spontaneous mob. we now know that it's a planned tres attack. if this was one tragic incident, that would be tragedy in and of itself. the fact that it's part of a bigger picture the obama foreign policy is literally unravelling before our eyes on the tv screens. stuart: and look at this one, the white house is trying to pass through 450 million dollars in aid in egypt supposed to help
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the muslim brotherhood to transform into democracy. the republicans in congress are trying to block it. the issue in cairo, warning to missionaries living especially women in cairo, should take precautions to protect themselves. and time is money. 30 seconds, here is what else we've got for you this monday morning, the latest polls show president obama with a growing lead, especially in the swing states, but there might be a silver lining in the polls for mitt romney. and we've got it for you. there is a treasury bubble going on right now and it will be painful when it pops. that will be my take and the new time, 10:25 this morning. the debate is not until wednesday night, but we already know what thursday's papers will say. the mainstream media in my opinion will say, obama won. is the media the president's biggest asset? good question. e-mail us, i want to know what you think. and e-mail us now, varney@foxbusiness.com or chime in on facebook of course.
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seven early movers this monday morning, sap late on friday xkts to close a deal this week and sap all the way up to 71. and financial said it would record a one time charge of 180 million dollars restructuring and the market sees at 10 a share. and the toy maker lowered the jut look and the stock is down 11%. and amworth mortgage, boosted value for shareholders. and autozone 12 cents and the i remember higher education division, no movement at all in those two stocks. according to computers, half of u.s. adults own a tablet or a smart phone. look at apple do they make them
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both virtually unchanged. 17 cents higher even though the dow is up 87, how about that. latest rasmussen tracking poll tremendous amount of pessimism among voters right now. how many people feel their children are going to be better off than they are? scott rasmussen has the numbers for us, they say a lot about the american dream, next. [ male announcer ] how do you trade? with scottrader streaming quotes, any way you want. fully customize it for your trading process -- from thought to trade, on every screen.
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it's another reason more investors are saying... why they're always there to talk. i love you, james. don't you love me? i'm a robot. i know. i know you're a robot! but there's more in you than just circuits and wires! uhhh. (cries) a machine can't give you what a person can. that's why ally has knowledgeable people there for you, night and day. ally bank. your money needs an ally. >> yes, it is a rally. modest, the dow has reached 72
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points higher first thing monday morning. check the price of oil, it was up about a buck a barrel earlier and now up 63 cents, 92 is the quote there. and gas prices little changed over the weekend, with the national average for a gallon of regular coming in at 3.78 and diesel holding at 4.08. let's go to the november elections on the polls, the latest rasmussen tracking poll has president obama with 50% of the vote, mitt romney, 47%, scott rasmussen from rasmussen reports is in new jersey. and scott, those numbers were released a few minutes ago and suggests that the rasmussen tracking poll now reflects, or is reflective of the national trend towards president obama. >> and absolutely. president obama has a slight edge at the point in team. and, but for anybody who takes these numbers and says the election is over is a misreading of what we're seeing. in each of the last two elections between october 1st and election day, the results have shifted about 3 points, so
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we're not sure if it will continue this time around or which direction it will shift. it raises competitive. with the debates, the vice-presidential debate and the jobs and events in the middle east to come. certain voters, people who say, yes, i am certainly going to vote, going to vote. that shows 42% romney, 41% president obama. now, that's an uncommitted at 17%. and that's-- >> persuader. and that's right, it's essentially a tossup as the uncommitted or persuadables. including people who say i'm going to vote for president obama i might change my mom, i'm going to vote for mitt romney, but could change my mind. most of these people won't change their mind, but they're not completely sold. one of the reasons it's looking better for mitt romney, seniors are far more likely to be certain of their votes than younger, and people under 40 trying different options one is whether they'll show up and vote
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at all. stuart: seniors vote in great are proportions. last one for you, scott, this is a sign of a huge pessimism. you asked your people are kids better off than you and 23% said yes and 59% said worse off and i've never seen a poll like this before. >> well, a month ago it was a little bit worse, but it's a very depressing number and to give you a sense of scale, in the great depression, 37% thought the next generation would be better 0 of and this pessimism is driving the election, it's driving the economy right now. stuart: i don't get it. i don't get it. if people think, six out of ten people think my kids are going to be worse off than me, why is president obama four years into his term, why is he out front? >> because people haven't been convinced that mitt romney is any better. in fact, when we take the uncommitted voters we were talking about, most of them say, the economy is not going to get
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better if barack obama is reelected only 14% thinks there will be an improvement in the economy if the president is reelected. only 28% think that things get better if mitt romney, he has not closed the sale things would be any different if he was president. stuart: i think your tracking poll is one of the most accurate out there. >> always great to be with you, stuart. stuart: 9:50 eastern, here is the gold report. 1,790 po 1,790.70. close to 1800 bucks. off $16. dow up, oil up, gold up. we're less than 15 minutes away from the latest read on the economy and that would be, and that comes before friday, and the big jobs report. we're going to cover all of it for you, 0 i believe, and i will give you my take on the latest bubble. it's not what you think. coming up next though, a
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fortune, and misfortune, and right now, our company for the hour is walking in, elizabeth macdonald, political analyst brian gardner and the topic number one, the song "money changes everything" ♪ i said, money, money changes everything♪ follow the wings.
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>> a sad story to tell you about. amanda crighton, you may not remember her name and she won a million dollars in the michigan lottery and continued to collect food stamps and eventually pleaded guilty to charges. sad to say she was found dead over the weekend, a suspected drug overdose and elizabeth macdonald and joining us now, brian, money does not change everything. >> no, sadly, it doesn't. and it didn't change her and maybe it's time to look at drug testing for people that receive sometimes government assistance, food stamps. the a.c.l.u. will scream about it, however-- >> would you favor that? >> i think you have to look at it. stuart: do you favor it yes or no. >> yes. stuart: liz. >> i favor it, you have to do drug testing if you want certain types of job and tell you
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something, this is a story about food stamp fraud because if you're a lottery winner, no one has to report their winners back to the state if you get food stamps. stuart: you are correct. all right. in just a few minutes, we get the latest reads on manufacturing in this country. and another big economic indicator, are we headed toward another recession? and that's breaking at the top of the hour. but will the numbers even matter come november? or will the mainstream media just back obama all the way to victory? those questions will be posed to joe trippi, former campaign advisor to howard dean. [ male announcer ] you are a business pro.
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>> all right. we're a few seconds away from the latest read on the economy. it will be a read on the manufacturing sector. it's a number that's going to come my way, a matter of seconds. it's above 50, it implies that manufacturing is expanding and here is the number. 51.5. and that is higher than expected. and anything above 50, any reading above 50, implies that the manufacturing sector is expanding. and 51.5 is the number. check the big board and immediate response. up goes the market. and we were up 70 points before the number and now, we're up 107 points. and brian gardner is with us, he knows just a few things about this economy and that's what you do for a living, i believe. now, look, we've got a reading of 51.5, an expanding manufacturing sector, that would seem to be running counter to
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the gdp numbers, income numbers and durable goods orders. so, here is the question, brian, are we still headed toward recession in 2013? >> i think we're headed towards a muddled economy, just sputtering along. the manufacturing number is actually better than what we've seen in past manufacturing numbers, maybe it signals that the manufacturing stories starting to turn back in the positive direction, because past manufacturing numbers have been bad. stuart: okay, so we are not-- i don't want to be dramatic here. no, we're not in recession and-- >> i think a recession a really low probability, but strong growth is just as low a probability. it's just a mixed economy for the forseeable future. stuart: and ben keeps printing. >> yes. stuart: the dow industrials are up 120 points, 13-5 following the release of the manufacturing numbers. >> and business activities, regional services show negative
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third straight month in sheing, dallas, philadelphia, kansas city, new york city and richmond so you know, those are the numbers we look at as well. this is a great number for manufacturing, but you know, the analysts out there debated whether or not we're already, again, in recession, which we did see a double dip, for example, during the great depression. stuart: the one thing about it, president obama will jump on this number just released and use it in the debate on wednesday night, i will guarantee that. >> yes, i think you're right. stuart: back to nicole, now up 120 points, i want to know which stocks are leading the dow rally? >> it's easy to find a lot of winners, some of the names in best performance in percentage points, bank of america and american express and the drug index, the banking index, the oil services indid ex, you get the picture, all higher. >> yeah, they are, and the dow is now up 130 points and gomes, it you say they're higher? >> this comes off the barron's story over the weekend and says the outlook, that goldman sachs
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can go up 25% a year, at least 25% in a year and grow their book value because they've been scrutinized and had a negative perception since the financial crisis, the truth is they're still a leader and financially steady and even more so than they used to be, a leader in activity than a likely outlook for capital markets activity looks good for goldman. >> okay, let me go back to the big board. up 129 points and one more number three minutes ago, that was on construction spending, which is down, .6%, okay, not a big drop, but a drop nonetheless, apparently had no impact on the market whatsoever. still up 130. move on to the latest rasmussen poll among those people who are certain to vote, mitt romney leads president obama 43-42. and we have 17% of voters uncommitted they say they could change their mind. that's one poll. in "the washington post,"
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president obama leads the governor in the key swing states, 52-41. we're just two days away from the first debate and now going to express the opinion, no matter how good governor romney does, the mainstream media will call it a victory for president obama, or a flat-out gap loss for mr. romney and joe trippi joins me now. you're not going to contest my opinion, are you, joe, that the mainstream media is firmly behind a second obama term? you're not going to give me an argument, are you? >> i'm not going to argue with you about where the media is it on this. i think, look, if romney gasps the media is going to jump all over it. and you know, so, i think if he has a good performance, stuart, i do disagree. generally what happens in the very first debate, if the challenger succeeds, and part of the reason is, just being on the same stage with the president of the united states with such a huge audience, i mean, there is
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no filter between, during the debate. there's no filter between what romney is satisfying and what the american people are seeing, that generally, i worked for walter mondale in 1984, everybody believed he did very, very well in the first debate against reagan. it was in the succeeding debates where reagan came back and clearly won those debates. so the first one is really an opportunity for mitt romney, i think. stuart: that's my point. okay, walter mondale did well in the first debate and lost the election catastrophically, and i'm not getting into that, but my point is that governor mondale could not overcome ronald reagan's record on the economy, which was an expanding economy, rapidly declining unemployme unemployment. it to me that the media is doing a disservice, promoting president obama in the face of high unemployment, and massive accumulate leagues of debt.
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that's my main point, joe, the media so firmly on the president's side acting as his baseline support, misleading the country how prosperity and future prospects? >> stuart, you have a point there, but look, i think there's someone else here, bill clinton. had ronald reagan been alive and able to walk into the republican convention and say, look, let's look at, i've been there, turned one of these things around and mitt romney is the guy, i think maybe they would have, at an arbiter of economic policy, i think reagan would have succeeded where bill clinton did for the democrats. bill clinton came into that convention, said i've done it, i've turned an economy around. you remember when i was president, the good economic times and job growth we had. stuart: and bill clinton got it wrong in his dnc speech. he said, no president, no president could have turned around what barack obama inherented. he was flat-out wrong.
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ronald reagan turned things around from a worse position. >> no, but what i'm saying, i'm not arguing those points, i'm saying that what happened was clinton is, was there and was able to say, i couldn't have turned it around no one could have and if you look since that speech, that's where obama started to have this, you know, this move up in the lead, i think, what clearly believe we can get into whether the polls are right or wrong about the size of it. clearly leads. what i'm saying about the debates, romney has a chance, there is no filter and he'll be able to make the case and certainly afterwards, president is going to, and pundits like me are going to say what they interpreted for people the fact that the audience is going to be so huge that i don't think that people listen to that interpretation. >> one last one for you, no. in your heart. look, i respect you, i think you're a very honest man, if
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your heart. do you think that a second obama term, he would stay hard left or he'll move to the center? i say he stays hard left. what do you say? >> look, i think there are a lot of democrats and progressives that think he is to the center. and i think he has to move to the center because there's no way -- look, whether romney wins or obama wins, there's got to be compromise. either romney has to compromise with the democrats in the nate or the president does, otherwise we're not going to get anything does unless these two parties start working together. stuart: and he'll bypass congress and govern by executive decree, he can do it. >> he can, but i don't think that's going to solve the other problems that we have. stuart: i really respect and admire you to come on the program and talk about walter mondale in 1984. i think you're terrific.
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a cheap shot on my part. i take all the blame for it. stuart: i don't think you should. it's a pleasure, come back soon. >> thank you, absolutely. stuart: you know, i'm not alon in saying the mainstream media is it in the tank for president obama. and here is democratic strategist pat goodell and quoting directly from it, the bias, the polling, it's complicated many some of it it's error, some is miscalculation and some of it is deliberate in my opinion to pump up the numbers using 2008 base to give a sense of dimension to the obama campaign. the president and mitt romney face off in two days and the obama campaign is lowering expectations saying the president's busy schedule prevented him from practicing for wednesday night. later this hour, mort zuckerman at u.s. news and world report we'll ask him about the treatment, 10:37 this program today. nicole, nokia, why are they a big winner today?
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>> maps, we talked about the new apple, the mapping service has been one of the major issues, nokia has been beefing up their mapping service. they're announced that they're working closely with oracle, a deal that we'll probably learn more about later in the day according to the wall street journal they've been working hard on signing up mapping and location deals not only with oracle, but amazon and the mapping services will come and give oracle access to the mapping services and what nokia has been saying and this is a big one we'll continue to follow. and i see the dow soaring up 150 points. do you know what the only loser in the dow 30 is. stuart: i know what it is, i'm there already. and you tell the world, go ahead. >> microsoft. and stuart will now give his disclosure, stuart. stuart: i own the stocks for years and years and years, and
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hoping to retire on it, apparently not. >> he's doing a good job on the fox business network today e and that's all we have time for. microsoft is the only loser of the dow 30's. microsoft is down on the day when the dow jones industrial average is 150. never ever take investment advice from a foreigner, got it? i'm serious, what kind of idiot-- i saw this story many times on this program, but my children told me to buy apple at 57. >> what did you do. stuart: i did not buy apple, i never bought apple i stuck with microsoft all these years and i digress. >> you're a loyalist, god bless you. stuart: an idiot. you heard about the tech bubble and the housing bubble. where is the next bubble coming from? i'll have my take from you on that coming up, it's not like where you like it. and two major employers are starting health insurance plans, they're like 401(k)'s in the
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health insurance business. you put the money in and spending it the way you want. could this be the future in america? good question. you see us, at the start of the day. on the company phone list that's a few names longer. you see us bank on busier highways. on once empty fields. everyday you see all the ways all of us at us bank are helping grow our economy. lending more so companies and communities can expand, grow stronger and get back to work. evyday you see all of us serving you, around the country, around the corner. us bank.
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>> let's tell it how it is. this is a rally. the dow jones industrial average is up 144 points, that's because we've got a solid report on
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manufacturing. and the ism reports, the index came in with a reading of 51.5 and anything over 50 implies an expansion of the manufacturing sector. this comes in a sea of otherwise disappointing numbers, frankly and the market has taken off on this one. and a weak report on construction spending makes no difference in the market, down .6%, biggest drop in a year and again, no market and just in from the supreme court, they will not hear a challenge to airport searches and patdowns are illegal searches, the court will not hear the case. we're back in 90 seconds with grace marie turner, the company's new plan which with revolutioni revolutionize. is coming from.
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as a homeless teen myself, i really understand this first hand. nobody should go through that, and with your help, nobody will. to find out how to do your part, go to childhungerendshere.com >> coming out of it, trying to cross into the cerebral and some of the circulation and into the agreement and going out into the nerves and muscle-- >> did you catch all that? that was one of the world's best neuro surgeons, dr. ben carson explaining the steps your brain has to go to to make your raise your hand. the whole explanation lasts about a minute we didn't have time for it all. none of the less, dr. ben carson will join us later this hour and discuss whether medical school is worth it anymore. and would he go to medical school if he were a young
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student today? 10:45, the great dr. ben carson. sears and darden restaurants, two companies could change the way employers offer health insurance to their workers. and the big deals with insurance companies, the employers would instead give employees a set amount of money and let them shop around for insurance on their own. joining us now is grace marie turner. this seems like it's kind of a 401(k) to health insurance, to me it sounds like a pretty good idea in a sense a lot of the risk comes off the employer for unlimited costs down the road. what do you make of it? >> well, even more, it gives choices to employees. and this was really, their compensation. and why should they not have more to say in the kind of choices they have. yes, these defined contributions, i think, are absolutely what is going to be
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the next big thing in health berths and really, an employee compensation overall. that's interesting, it seems to open a door to a new trend. my guest brian darden, talking to him over the break, this is one of the benefits of obama care. and the move by sears and darden restaurants, they've been bushed into it. >> i gather from what grace is saying and reading about it, it seems it's entering, it's introducing an economic relationship between the consumer and the insurance company which does not exist right now. because you have the company providing so there is no economic relationship. this helps, i think, ride that cost, eventually. stuart: and grace marie, is this one of the may i say benefits of obama care? >> this is, but a trend we have been moving toward for the last decade because it makes sense, and oddly, stuart, we have here two examples where government
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programs have taken the lead. the federal employee health benefit program where about 10 million federal employees get their health coverage works like this where people have a choice, steams as many as 20 plans in the areas where they live and they get to make choices and the medicare prescription drug benefit, millions of seniors make choices and they're bringing prices down. stuart: the employer gives me a set amount of money, $2000,i go into the market place and choose the plan which i think is best for me i can afford within that context of the money from my employer, got it. now supposing i get dreadfully ill and my illness is not covered to the fullest extent by the insurance product that i have chosen, i can't afford to pay for the treatment which i desperately need. then what? it seems to me the risk is passed on to the employee. >> well, that's, that's why you have insurance, stuart. i mean, the current cost of the family policy for health
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insurance is more than $15,000 a year and employers are paying about 12,000 of that that's a lot of money to buy a good insurance product. so, that you can be guaranteed you're going to get the coverage you need and i think that that's going to be the thing that people look for. not how many preventive care services are covered, but i might be able to get the carry really need if i or one of my family members gets sick or hurt and needs the best care, that's what people are going to look for. >> i hear what you're saying, isn't there a down side to this. you're right, the health premiums are going up inexorably. wouldn't this be a way for companies to off load the costs on to employees and couldn't they more quickly, those companies, clip or reduce the health care credit or whatever the subsidy is going to be, down the road? i mean, i hear you, the high cost of affordable care has always been a problem with obama care, is this a back doorway for
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companies increasing costs for health care? >> i think that employers have, for a long time, believed that keeping their work forces healthy, it's just good business. they're not going to cut this back. if they do, their competitor down the road will offer a better deal for health insurance and lose employees to them so they have a continued vested interest in making sure that this contribution is adequate to make sure that people can purchase the health insurance that protects them and gives them the choice of the kind of coverage they want. now, i think what they will fiend is that catastrophic kochl coverage, the coverage for the big stiff is going to be the they think that people make sure they have heard of and then they can take that policy with them if they move to their next job e grace marie, i think you're right and all in agreement that this, a 401(k) for health insurance, i think that's the coming thing. i think this is a break through by sears and darden restaurants. grace marie turner, we love your
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coverage of the health care business for us, and we do appreciate it. thanks very much, grace marie. are we living in another bubble? i say we are. but it won't end well. that will be my take and it's next. >
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>> six out of ten people think my kids are going to be worse off than me, why is president obama four years into his term, why is he out front? >> because people haven't been convinced that mitt romney is any better. >> that was scott rasmussen with a blunt response why mitt romney isn't leading in the polls. tune in at 9:20 sharp, eastern. and we will like this, the dow jones industrial average is up nearly 150 points. nearly 13,584. nicole, molson coors are down, why? >> a couple of things happening here. the real headline about the company itself is that they're combining the european businesses over in europe and combining, the u.k., ireland and organizations into a new business in it next year, so, obviously, massaging their plans
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for the future and molson coors over in the european unit will be the ceo. a changing of the guard how they're doing business going forward and another thing today, looking at morgan stanley, underweight from an equal weight and talking about the volumes. and so they said that's separate from the plans, and so there you have it. stuart: there you have it. >> so there you have it. i want to tell you, walked into work today. here is something, i walked into work and bombarded by two nice ladies and we talked about starbucks being available at the bakery popular m manhattan and starbucks made a deal with this bakery, you can go into crumbs and get starbucks coffee, buy one cupcake or pastry and get a starbucks coffee for free, so here in manhattan, i don't know if this is a national store or most of an east coast story, but there you have it. stuart: i think it's a nicole petallides commercial, actually, that's what i think it is. >> yeah, i do happen to like
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crumbs cupcakes and starbucks. stuart: hold on, hold on. how much is one crumbs cupcake. >> oh, geez, i eat the happy birthday my favorite 4.95. stuart: what? you pay 4.95. >> i only eat them on-- >> and what, what? nicole. >> and get out of here. the price here, we're up again, 1785. that wasn't a bad year, either for gold. 92 per barrel on oil. gas prices pretty much unchanged over the weekend. 3.76, no, 3.78 i'm sorry on regular, diesel 4.08. are we living in yet another bubble, another huge unsustainable run-up. first dot-com stocks and now it's housing and now, maybe it's
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treasury securitiesment maybe. here is my take on bubbles. they're fun when you're in one, they're plain awful when they burst. when the dot-com mania ended, the economy went into recession and became a deficit. when the home price boom ended we had the pan ic of '08. they were terrific as they lasted, but ended in tears. how about the current bubble? that would be federal debt. it's not widely understood, but that money that ben bernanke has been printing has been used to buy that debt and that's pushed treasury prices way up, bubble level. it is a bubble. what happens when it bursts? it will eventually. pretty soon people who lend it will say you can't pay it back and then you have killed the dollar. and the interest rates goes straight up and the economy goes straight down and ben will be unable to print out of trouble because it was printing that got
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us into the mess in the first place, i do not have a solution, only the conviction that we're indeed in another bubble and i don't know exactly how it will shake out. i don't know which investment will do well eventually, but i do know that this bubble will burst and when that happens, there will be a river of tears. so anyway, i've been to a lot of places. you know, i've helped a lot of people save a lot of money. but today...( sfx: loud noise of large metal object hitting the ground) things have been a little strange. (sfx: sound of piano smashing) roadrunner: meep meep. meep meep? (sfx: loud thud sound) what a strange place. geico®. fifteen minutes could save you fifteen percent or more on car insurance.
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>> wednesday night. the debate. are thursday's headlines written? obama wins, romney loses, can we assume that will be the story line? yes, we can in my personal opinion. democratic strategist says you cannot trust the mainstream media, the bias, polling, very complicated some of it is error, some of it miscalculation and some is deliberate in my opinion. to pump up the numbers using the 2008 base to give a momentum to the obama campaign, that's pat caddell. and news report editor in chief, mort zuckerman, welcome to the program. good to be here as always. stuart: do you agree with me, the establishment media is firmly in the tank for obama and decided that come what may, they will say that the president won the debate come thursday morning? >> well, i do think that there are many people in which you
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would call the establishment media who would support the president, no question. but i also think there's going to be a huge audience for this, they're going to make up their own mind, have a sense of how romney himself handles-- got to establish himself as a viable, credible leader of the country, if he does that in enough turns what the country will shift to look at obama. right now the country has been focused on romney and not the way he'll win the election. stuart: all those that don't watch the full debate. two hours, goes on a long, long time. most won't watch the full thing, they will look at the media's response to a couple of sound bites from it. and that response will be negative towards governor romney and positive towards president obama. and look, i'm going to go further, i think the establishment media is doing is diiservice to america by clouding the issues and promoting a left of center president. >> well, look, i don't want to-- no, no, i'm not in the
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establishment media, there's no issue there and you know that i've come out. even though i originally supported obama i've come out very strongly against the effectiveness of his leadership for this country. especially on the economy. and there are million, tens of millions of people who have been hurt by the last four years in economic terms. nobody, nobody can change their-- they know what's happened to employment. they know what's happened to their children's futures know and understand we've added 5 trillion to the national debt and somebody's got a way to put that in terms that it connects with the american public. >> are you happy with the-- no, i'm not for it, how could you be happy with it in some mysterious way he's not been equal to a national campaign, but it doesn't mean he isn't talented. he's very talented. stuart: because the media has changed the subject away from the president's record on the economy and towards supposed so-called gaffes on the part of governor romney. >> we know all the time the
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presidential candidate has to be smart enough not to get himself in the holes and he has not passed that particular test. it's not enough, should not be enough to shift the whole world media, but if it does, it does. he's got to be beyond it, that's his challenge and he's got to make a credible case. >> so much of what's going on with the white house and the administration, they've misdiagnosed the economy, they've misdiagnosed the problems, you know, we had, you know, a summer of recovery, escape velocity language out of the who white house and 2010. and even the federal reserve saying we're more focused on inflation in in 2010 than growth-- is the american media more focused on economic justice versus economic growth? >> to a degree i agree. we need a recovery to recover from this recovery. and it's badly structured, badly thought through and frankly the possibility of doing something
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early enough is behind us. so everybody is paying the price in terms of the national economy. but the reflection of that is, 23, 24 million people who were out of work, we have more, 4 or 5 million people less, less number of working, and if you-- with the most stimulus and fiscal and monetary policy for people to come up with, they haven't done the job. stuart: you're a publisher, you've got your finger on the pulse of america, has america shifted in the last four years, shifted and we've launched income redistribution and don't meaned low rates so long as people are taken care of. have we shifted? >> some have. my point is this, if this presidential candidate, mitt romney could put forth a program in forceful and effective way he'll address it. he's going to be up there standing next to or against obama in one form other another, a chance where people can compare them. this is his last moment. if he doesn't do it well, i
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would have thought he'd be 5, 10 ahead, but he has a chance to do it and this is his last chance. stuart: mort zuckerman, passionate. >> we haven't heard me say ay, yet. stuart: always a pleasure, thank you. appreciate it. medical care, expensive if you're a patient, what if you want to go to medical school? famed neuro surgeon, the best, dr. ben carson joins us next, to talk about whether becoming a doctor is still a good idea. remember when dr. carlson gave us the special anatomy level. >> and across the internal capsule into the cerebral, down the cervical-- into the spinal cord, and going out to stimulating the nerve-- . and how that feels. and how that feels. copd includes chronic bronchitis and emphysema. spiriva helps control my copd symptoms by keeping my airways
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open for 24 hours. plus, it reduces copd flare-ups. spiriva is the only once-daily inhaled copd maintenance treatment that does both. spiriva handihaler tiotropium bromide inhalation powder does not replace fast-actingi. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd spiriva helps me breathe better. (blowing sou) ask your doctor about spiriva. i've been a superintendent for 30 some years at many different park service units across the united states. the only time i've ever had a break is when i was on maternity leave. i have retired from doing this one thing that i loved.
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now, i'm going to be able to have the time to explore something different. it's like another chapter. >> this is a billing wall street rally. at the moment the dow industrials up close to 150 points. better than expected report on manufacturing showing growth in manufacturing last month. that kicked off this rally. and don't get too excited. the other economic news has been somewhat disappointing. a gold is up and we're close to $1800 an ounce, and right now. oil prices, close to $93 a barrel. gas prices holding steady 3.78 for regular and destel diesel
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4.08. experts are predicting increase in prices 10%. internet reports of a worldwide shortage for bacon are exaggerated. back in 90 seconds to the genius himself. the world's greatest neurosurgeon, dr. ben carson. get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right after they get married, they'll find some retirement people who are paid on salary, not commission. they'll get straightforward guidance and be able to focus on other things, like each other, which isn't rocket science. it's just common sense. from td ameritrade.
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[oinking] [hissing] [ding] announcer: cook foods to the right temperature using a food thermometer. 3,000 americans will die from food poisoning this year. check your steps at foodsafety.gov. >> we have a big name stock with a new high. ibm. and why is this happening, nicole? >> well, stuart, i was just taking a look at ibm.
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and taking a look at the price target raised to 240 from 225 over at deutche bank. it's interesting, and now listen to a record intraday here for ibm. this dow component is up nearly 2% today and just talking about the expectations of the refreshed main frame and power plus server, and talking about this, and why they're raising the price target and saying the stock is attractively valued. a new high here for ibm today. 211.27 was the high. >> it's up 12% this year, not bad at all. nicole, thank you very much indeed. dr. ben carson one of the world's best neurosurgeons, if he were 21, 20 years old would he still go to medical school? he joins us from johns hopkins, author of "america the beautifu
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beautiful". doctor carson always a pleasure, welcome back. >> always good to be with you. imus: sir, if you were a young man, not that you're an old man, but a really young man again, just starting out. would you go to medical school and do what you did? >> well, you know, it's sort of a two-part answer. in terms of the excitement of medicine, the things that are being discovered, there is -- there are few things that are more exciting than that. so, yes, i would, but i would also be somewhat concerned because the costs are quite substantial. it's not unusual for a student to exit medical school owing in excess of $200,000 so they basically have a mortgage on their hands, plus, they still have internship and residentsy to go through in which they're not being paid large amounts of money. so it accumulates and becomes a burden. as a result of that, a lot of people tend to choose higher
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paying specialties, rather than primary care type specialties, even though their heart is in primary care. we need to find a way to address that. many other nations found ways. stuart: it's primary care where we face a growing doctor shortage, i think, am i right with that? >> that's correct. stuart: and a doctor shortage in the primary care arena, that may be a result of obama care, again, is that accurate? >> well, it was already starting before obama care. obviously, that's going to exacerbate it. there was a survey looking at satisfaction of primary care decisions with their profession and 45% were unhappy not because they didn't like being a doctor, but they had too many patients and demands on them, they couldn't spend quality time with them. that's going to increase if you throw another 30 million people into the mix and you decrease the reimbursement. you don't have to be a genius to figure out that's going to cause
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quite a difficult situation e when you started out and went to medical school, i think the american dream was very much intact, and people thought that youngsters like yourself going into the profession, would end up wealthier than your parents. well, fast forward to today and he have' got a poll that says. chris: -- only 23% believe they'll be better off and 69% think that their children will be worse off than they are. that's a complete transformation where you were back then and where we are today? >> well, it is, but factor in that 16 trillion dollar debt that our children are going to have to deal with, which is growing. most people have no concept what 16 trillion is. if you count one number per second, it will take you 507,000 years to get to 16 trillion. it's an unbelievable number and that's going to weigh tremendously on our progeny so
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we need to start doing something about it. somebody needs to start talking about shared sacrifice and, and real fairness, not political fairness, but real fairness. stuart: would you be prepared, i'm sure you're a high income guy, i don't know for a fact and you don't have to confirm it. but i'm pretty sure you're a high income guy, one of the best in the world, got to be high income guy. would you be prepared to pay sharply higher taxes? >> i would be prepared to pay higher taxes if we did the requisite trimming of spending. stuart: okay. >> i mean, i just don't want to be throwing good money after bad money so when i'm satisfied that we have stopped wasting money and doing silly things and we do a lot of those, i'll give you everything, because i'm a patriot, i want to success, but stop wasting money first. stuart: and most people say the same thing, i do believe that.
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dr. ben carson, we hope you see us soon. >> thank you. stuart: thank you, doctor. the united nations at it again, you'll never believe the latest tax they've dreamed up, but we'll tell you all about it next. you see us bank on busier highways. on once empty fields. everyday you see all the ways all of us at us bank are helping grow our economy. lending more so companies and communities can expand, grow stronger and get back to work. everyday you see all of us serving you, around the country, around the corner. us bank. why let erectile dysfunction get in your way? talk to your doctor about viagra. ask if your heart is healthy enough for sex. do not take viagra if you take nitrates for chest pain; it may cause an unsafe drop in blood pressure. side effects include headache, flushing, upset stomach, and abnormal vision. to avoid long-term injury, seek immediate medical help
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for an erection lasting more than four hours. stop takg viagra and call your doctor right away if you experience a sudden decrease or loss in vision or hearing. this is the age of taking action. viagra. talk to your doctor.
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>> two days away from the first presidential debate and fox business is the place to be for
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full coverage. neil cavuto hosts wednesday night right here 8 p.m. eastern, fox business. remember, the show's never really offer. follow us on facebook, update throughout the day and this afternoon, a new blog up, it will be my advice for young job seekers. you know, i miss this. and follow us on facebook 24/7. it seems like the answers to the world's problems is this, tax the rich. and first united nations kicking around ideas. a 1% tax on billionaires, a tax on bank, that's the u.n., they need to raise 39 billion dollars. one third from budget cuts and some from higher taxes. and austerity turning to violence in spain, and so, everybody, start with taxing the rich. a worldwide phenomenon, i say it's not a successful idea to get the economy growing and you
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say what, brian? >> it's a terrible way to get the economy growing, look at france. an exodus across the channel to london. there's an ex-pat community and it's going to increase and anecdotally about the rich in france leaving france because of the new taxes coming in on the hollande government. if people leave where are you going to get the revenue from. >> you can't make the poor richer by making the rich poorer and by the way, if you tax 100% everybody in the upper brackets in the u.s. only run thee government for two or three months giving the way that spending is going and as for that financial transaction i'm not sure that the unions want to see the tax hitting their pension account. stuart: they want a tax, a small
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percentage tax every single transaction around the world in all the major-- so if you trade currencies for example, every time you do a trade you pay a very small tax, but adds up to tens if not hundreds of billions of dollars. >> that's right, and again, the investors and paying it, in fact, the-- >> where does it go? >> well, it goes to spending or the government trying to create jobs. >> no, it would go go to the united nations. >> it would go to the united nations. stuart: so they want our money to spread around to all of these cleptomaniacs to run the united nations-- forgive me i digress. what do you think? >> i think it's not going to happen. it's never going to happen for the reasons you stated there. it's not going to happen and some of the reasons, what they were getting at, the unions may say they want it, but when the pension funds get involved and would be winding up paying the tax the shoe is on the other foot and doesn't seem quite as attractive.
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stuart: goldman sachs says you have to pay that if-- >> and it's a tax. goldman doesn't pay it, stuart, you're going to pay it. stuart: the highlight reel, get me out of this. the highlight reel is up next.
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stuart: i have breaking news. honda recalling accords. there has been a fire in one case. no injuries, but that is a big recall. here it is. the highlight reel. the media is doing a disservice to america by promoting president obama in the face of a declining economy, high unemployment and massive accumulation of debt. >> you have a point there, but i think it is, and healthcare. it is bill clinton. stuart: bill clinton got it wrong in his dnc speech. no president could have turned
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around what barack obama inherited. he was wrong. ronald reagan's turned it around. >> there are millions of people who have been hurt by the past four years. stuart: away from the president record towards governor romney. >> the presidential candidate has to be smart enough not to get himself into those holes. he has not passed that particular test. stuart: thursday morning, the day after the debate, the headline is. >> -- stuart: not bad. romney with to fight another day. thank you for joining us. it is time for dagen and connell connell: paul ryan's tax plan.

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FOX Business October 1, 2012 9:20am-11:00am EDT

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